Michigan Cannabis Tax Explained: What You Pay at the Register

How the Math Works

Tax is added on top of the shelf price at checkout. Here is a $100 product:

• Shelf price: $100.00
• 10% excise tax: $10.00
• Subtotal: $110.00
• 6% sales tax on that $110: $6.60
• Total: $116.60

Why 16.6% and not 16%? Because the 6% is applied after the 10% is added. The $100 is just an easy number to run the math on. Your real total depends on what you buy, and current prices are on the live menu.

Michigan's 24% Wholesale Tax Since January 1, 2026

Michigan added a second cannabis tax at the start of 2026. The Comprehensive Road Funding Tax Act was signed on October 7, 2025 and took effect on January 1, 2026. In the Michigan Department of Treasury's words, it "imposes an excise tax at the rate of 24 percent on sales of adult-use marihuana at the wholesale level," and that tax "is levied in addition to other applicable state taxes," including the 10% retail excise tax and the 6% sales tax. It applies to wholesale sales, not to your purchase at the counter, so the register math above still holds: 10% excise, then 6% sales tax on the subtotal.

Does Michigan Cannabis Tax Change by County?

No. The 10% excise tax and the 6% sales tax are both statewide, and Michigan has no county or city sales tax on top. A purchase at Adrian, Grand Rapids, Traverse City or Kalkaska is taxed the same way. Only shelf prices and deals change from store to store.

What Do Medical Patients Pay?

Under Michigan's medical program, registered patients are exempt from the 10% excise tax and pay the 6% sales tax only, so the same $100 product comes to $106. That is $10.60 less per $100 spent. Every Olswell store is adult-use only, so the full adult-use tax applies to every sale at our counters.

Whether a medical card pays off depends on how often you buy and what registration costs. The medical vs. recreational breakdown covers the differences.

How to Pay Less Tax

Both taxes are percentages of the price you pay, so anything that lowers the price lowers the tax with it.

• First visit: first-time customers get a quarter off, 25%, with a valid 21+ ID.
• Happy Hour: 20% off the whole shop at Adrian, Traverse City and Kalkaska, on each store's own schedule. Windows are on each store page and the deals page.
• Weekly deals and drops: these change, so check the live menu before you go.
• Value flower: The Limit is our value brand, built around ounce deals, bulk flower and limited drops. See The Limit.

Plan your cash around the after-tax total, not the shelf price. Olswell is cash only, and there is an ATM on-site.

Sources

Rates and rules: Michigan Cannabis Regulatory Agency. Wholesale tax: Michigan Department of Treasury, Wholesale Tax on Adult-Use Marihuana (November 25, 2025).

Related Articles

• Complete Michigan Cannabis Guide
• Purchase limits explained
• Michigan cannabis laws
• Cheapest ounces in Michigan

Order at Olswell

Prices and deals move, so the live menu is the source of truth. Order on your store's live menu and pick up in store: Adrian, Grand Rapids, Traverse City or Kalkaska. Orders are held until the end of the business day, and there is no delivery. How in-store pickup works.